Out of this, which principle is followed in case of provision for doubtful debts?
Matching principle
Historical principle
Disclosure principle
Revenue recognition principle
At the end of the year, a bad debt recovered is treated as :
Loss of the year
Profit of the year
Expense
Income of the year
Writing off bad debts is an example of:
Materiality principle
Consistency principle
Prudence principle
Which word is used as no individual names, dates and amount details have been provided?
Bad debts
Debtors written off
Unpaid amount
Loss
The concession allowed, when debtors make immediate payment is known as:
Provision
Discount
New provision
Estimate of the amount which a business will lose in a financial year because of bad debts is known as:
Provision for bad debts
Written off debts
Credit control
As the account of the debtor is been closed, what do you with cash book?
Debited
Credited
Not recorded
Neither debited nor credited
A bad debt is:
Profit
Expenditure
Gain
Where will you show new bad debts and new provision for bad debts?
Debit side of profit and loss account
Credit side of profit and loss account
Trial balance
Liability side of balance sheet
The amount owing to a business which is not paid by the debtor.
Bad debt
Credit
Gains
